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Cambridge, Massachusetts - April 5, 2010 - As mobile customer retention remains a key focus in both developed and emerging markets, operators should assess the value of churn within the context of key segments, according to a new report from Pyramid Research (www.pyr.com), the telecom research arm of the Light Reading Communications Network (www.lightreading.com).
Mobile Customer Churn: Why It Matters Less in Some Emerging Markets looks at the value of churn as an indicator and analyzes the strength in the value between emerging markets, such as Africa and Asia, and that of other countries. This 16-page report looks at the development of churn rates in highly prepaid markets in Africa and developing Asia. The value of churn is assessed as an indicator, its differing definitions and market contexts, as well as successful operator retention initiatives. Four case studies examine Vodacom Tanzania, Idea Cellular, Banglalink, and Vodacom South Africa. Download an excerpt of this report. Purchase this report online.
"Churn rates have been an important performance indicator in the wireless industry; some operators believe its value has lessened in recent years, given changing market dynamics, such as the high incidence of multi-SIM ownership and the provision of free SIMs and airtime," says Jan ten Sythoff, analyst-at-large for Pyramid Research and author of the report. "For example, the main trend for churn rates in developing prepaid markets, such as many in Africa and Asia, is upward, driven predominantly by the arrival of new entrants. In other countries, by contrast, market maturity, competitive stability and improved subscription management is bringing churn rates down."
"For churn to continue to remain relevant, it needs to be reprioritized within organizations and it should not be discarded as an indicator altogether," ten Sythoff explains. "Intense levels of competition do mean that its priority should be lowered, but this is likely to be a temporary situation as markets mature and consolidate. Moreover, churn remains a key parameter of a subscription’s overall lifetime value when tracking high-value segments, particularly when high subsidies are involved in order to acquire the customer, as well as in the evaluation of services and pricing options for operators," ten Sythoff adds.
Mobile Customer Churn: Why It Matters Less in Some Emerging Markets is part of Pyramid Research's Asia/Pacific Telecom Insider report series. Telecom Insiders are packed with trend analysis, industry best practices, market sizing and forecasting, competitor analysis, and case studies, providing you information you can leverage to make better business decisions. Download an excerpt of the report.
Mobile Customer Churn: Why It Matters Less in Some Emerging Markets is priced at $595. It can be purchased online here, by emailing us at info@pyr.com or calling +1 617-871-1900. For more information about Pyramid Research's products and services, please visit www.pyr.com or contact us at info@pyr.com.
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About Pyramid Research
Pyramid Research (www.pyr.com) offers practical solutions to the complex demands our clients face in the telecommunications, media and technology industries. Our analysis is uniquely positioned at the intersection of emerging markets, emerging technologies and emerging business models, powered by the bottom-up methodology of our market forecasts for over 100 countries – a distinction that has remained unmatched for more than 25 years. As the telecom research arm of the Light Reading Communications Network, Pyramid Research works with Heavy Reading, providing the communications industry's most comprehensive market data, trusted research and insightful technology analysis.
About Light Reading
Founded in 2000, Light Reading (www.lightreading.com) is the leading online media, research, and focused event company serving the $3 trillion worldwide communications market. Lightreading.com is the ultimate source for technological and financial analysis of the communications industry, leading the media sector in terms of traffic, content, and reputation. Light Reading’s research arms, Heavy Reading and Pyramid Research, provide the most comprehensive communications research, market data, and technology analysis in close to 100 markets around the world. Light Reading produces nearly 20 targeted communications events including TelcoTV, and TelcoTV Asia, Ethernet Expo New York and Ethernet Europe, and The Tower Summit @ CTIA, as well as focused one-day events tailored for cable, mobile, and wireline executives in the US, Europe, India, and China. Light Reading was acquired by United Business Media in August 2005 and operates as a unit of TechWeb.
About UBM TechWeb
UBM TechWeb (http://www.techweb.com), the global leader in technology media and professional information, enables people and organizations to harness the transformative power of technology. Through its core businesses – media solutions, marketing services and professional information – UBM TechWeb produces the most respected and consumed brands, applications and services in the technology market. More than 14.5 million business and technology professionals (CIOs, IT and IT Support managers, Web & Digital professionals, Software and Game developers, Government decision makers, and Telecom providers) actively participate in UBM TechWeb’s communities. UBM TechWeb brands includes: global face-to-face events such as Interop, Game Developers Conference (GDC), Web 2.0, Black Hat and VoiceCon; large-scale online networks such as InformationWeek, Light Reading and Gamasutra; research, training and certification services, including HDI, Pyramid Research and InformationWeek Analytics; and market-leading magazines such as InformationWeek and Wall Street & Technology. UBM TechWeb is part of UBM, a global provider of media and information services for professional B2B communities and markets.
Press contact:
Jennifer Baker
+1 617 871-1910
jbaker@pyr.com
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